Enerplus Corp. - (ERF.TO) - September 14, 2021
Several Canadian oil and gas producers attracted significant new interest from investors yesterday. Enerplus (ERF.TO), for example, returned to the Green Favored Zone of the SIA S&P/TSX Composite Index Report for the first time since July. The shares finished in 37th place up 34 spots on the day and up 68 levels in the last month.
Enerplus (ERF.TO) continues to turn the corner, closing at its highest level since July with a 6.6% one-day rally on increased volume (lower circle) indicating renewed investor interest. The shares have already snapped a downtrend line which signaled the start of their turnaround.
A breakout over $8.00 would complete a bullish Reverse Head and Shoulders base (upper circle) and confirm the start of a new upswing. Next potential resistance after that appears in the $9.00-$9.25 area near the shares’ previous peak, then $10.00 where a measured move and a round number converge. Initial shoulder support appears near $7.50.
Since a summer selloff was contained by support in the $6.00-$6.25 area last month, Enerplus (ERF.TO) shares have been on the rebound. This recovery accelerated with the shares completing a pair of bullish Double Top and Spread Double Top breakouts, to confirm the start of a new upswing.
Next potential upside resistance appears near $8.35 where a horizontal count converges with a previous column low, followed by previous column highs near $8.90 and $9.25. Initial support appears near $7.58 based on a 3-box reversal.
With a perfect SMAX score of 10, ERF.TO is exhibiting strength across the asset classes.
Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.